Marketing material created for MainStreet Capital Housing.

1. Call 1-866-931-4202 For a FREE
Foreclosure Prevention Consul- Mortgage
tation:
Our certified loss mitigation counselors will ana-
lyze your situation and set up a plan to help you
THE BAD NEWS:
Trouble
avoid foreclosure. You’ll get advice and a free
foreclosure consultation. Our success rate in help- We Can Help,
Loss Mitigation Guide
ing homeowners avoid foreclosure gives us per- • Michigan home foreclosure rates are
suasive leverage with mortgage companies. We among the highest in the nation
know the laws pertaining to foreclosures and re-
possessions. In the vast majority of cases, we are • Experts have suggested foreclosure filings
able to stop foreclosures quickly. in Michigan could double in 2008
Its never too late for help, so don't delay • The year to date foreclosure fillings for
—act today! Michigan have reached over 117,122
• More than 1.2 million American homes
WHAT IS LOSS MITIGATION: are now in foreclosure
Loss Mitigation is a process to avoid foreclosure. • A significant portion of the increase in
In this process, the lender tries to help a borrower foreclosure filings will likely come from
who has been unable to make timely mortgage the approximately 212,000 subprime
mortgages in Michigan
payments and is in danger of defaulting on his or
her mortgage. As a gen-
eral rule, lenders only be-
gin foreclosure when all
THE GOOD NEWS:
else fails. Lenders work • We have helped many distressed
homeowners prevent foreclosure. During
with Loss Mitigation
your FREE Home Ownership Consulta-
Counselors and Housing tion, we will discuss your options to Stop
Counseling Agencies for Foreclosure and answer any questions
ways to assist homeown- you may have.
ers having financial diffi-
culties; however, their ability to assist the home-
• We are a community based affordable
housing agency dedicated to preserving
HOUSING HOTLINE
owner declines with each missed payment.. The home-ownership.
easiest way to cure a delinquency is to pay the
lender everything that is owed. This includes 1- 866-931-4202
missed payments, any late fees associated with
the payment and any other fees which the lender Contact Us Today For A FREE, Confidential
charges as a result of the delinquency. When this Home Ownership Consultation or visit
is not possible, Loss Mitigation provides alterna- us on the web at
www.mainstreetcapital.org
tive ways to help homeowners avoid foreclosure.

2. How To Prevent Foreclosure
Thanks to Main Street Mitigation
Through Loss
Capital I was able to buy
1. Repayment Plan—Develop a they pro-
my own home, written agreement
between the borrower and lender payment
vided the down outlining how to
handle missed payments. Generally, these agree-
money, and a low interest
ments require higher payments than the regular
mortgage amount for a short period ofme auntil the
mortgage, they got time
loan is brought current. a house that I
deal on
could not have possibly
2. Forbearance—The lenderown. Thank
done on my will allow borrowers a
specified period of time (usually three to six months)
you very much.
to make either lower payments or no payments at all.
Unless the loan is extended, later payments will have
to be higher than the original monthly mortgage
payments until the loan is current.
Call 1-866-931-4202 for foreclosure
3. Loan modification--A loan modification involves
prevention counseling: changing one or more of the terms of a mortgage in
order to help borrowers bring a defaulted loan cur-
rent. Modifications can be considered to reduce the
interest rate of the mortgage, change the mortgage
product (for example from an adjustable rate to a
fixed rate), or extend the term of the mortgage.
Foreclosure: Is Bankruptcy Right For Me: 4. Assumption of the loan--An assumption is a
A Growing Concern If you are considering filing bankruptcy to save your method of transferring a house to a new buyer who
Foreclosure is a real issue for our country and more home, it should be a last resort option. agrees to take responsibility for (assumes) the existing
importantly, the state of Michigan. We are living in You have that right, but it may not be the best solu- mortgage. Not all mortgages are assumable, so this
the worst housing slump since the great depres- tion: Typically, a servicer can’t offer relief while the option must first be discussed with the servicer.
sion. Not only does foreclosure have a disastrous property is under protection of the bankruptcy court
impact on families, it affects entire communities. or once a bankruptcy is discharged without reaf- 6. Short Sale—A short sale is the sale of a property
firmation. Also, lenders can offer relief options that in which the lender agrees to accept the proceeds of
the sale, even though it may be less than the amount
the bankruptcy court can’t. If the bankruptcy is dis-
owed on the mortgage. This is the best option for
charged, although they are no longer personally
home owners unable to refinance.
One child in every classroom in America responsible for the debt, the servicer can and will
is at-risk of losing his or her home be- foreclose if the borrowers don’t make payments. 7. Deed-in-lieu of foreclosure--A deed-in-lieu of
cause their parents are unable to pay foreclosure takes place when borrowers voluntarily
their mortgage. Call MainStreet Capital Housing Today gives the deed to the property to the lender.
at 1-866-931-4202.